Organic Pigments Market Expected to Reach $8.4 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Organic Pigments Market," The organic pigments market was valued at $5.6 billion in 2021, and is estimated to reach $8.4 billion by 2031, growing at a CAGR of 4.2% from 2022 to 2031.

Organic pigments are carbon compounds that are manufactured chemically and utilized to provide color to substances. They generate transparent hues, in contrast to inorganic hues, which are opaque. However, some of the organic pigments produced have opaque colors. The color intensity of organic pigments is great, however their dispersibility is low. They are insoluble in water, organic solvents, and a variety of other  liquid. The environmental profile of inorganic pigments is superior to that of organic pigments, which are poisonous and include heavy metals such as lead and cadmium.

There are two types of organic pigments: natural organic pigments and synthetic organic pigments. Organic natural pigments are derived mostly from plant and animal sources, whereas organic synthetic colors are produced from petroleum chemicals. However, most end-use sectors choose synthetic organic pigments due to their lightfastness. In synthetic fibers, polymers, and surface coatings-paints & inks, organic pigments are exploited as mass colorants. The market for organic pigments has grown substantially during the past few years. These pigments are favorable to the environment. This is an important market driver. These pigments are utilized extensively in the food and beverage and cosmetics industries.

In addition, they are utilized in master baths to lend color to polymers. During the forecast period, rapid urbanization and rising infrastructure spending are expected to fuel market growth. The market for organic pigments is also being pushed by the growing demand for organic products as a result of shifting consumer tastes. Organic pigments are frequently employed in the food and beverage industry. This is expected to fuel demand for organic pigments during the forecast period.

Similarly, rising demand for organic pigments from a variety of end-use sectors, such as textile, plastic, and others, are anticipated to drive the market for organic pigments in the future years. Due to an increase in the number of textile industries in Asia-Pacific, the global market for organic pigments is expected to grow at a rapid rate there. In addition, the availability of organic pigments in a variety of hues makes them more desirable for use in the visual arts. Demand for organic pigments in a variety of high-tech applications, such as photo-reprographics, optical data storage, and optoelectronic display, is anticipated to present considerable growth opportunities over the next few years, as a result of the growing significance of organic pigments in various end-use industries.

The use of HPPs is increasing due to their superior heat stability, chemical resistance, and weather resistance, compared to conventional pigments. However, these pigments also exhibit excellent insolubility and color stability. These enhanced qualities make organic pigments more suited for a variety of applications, including decorative and automotive coatings that require great resistance to weather and light. All these factors are driving the organic pigments market.

The market for organic pigments is hampered by the high price of organic pigments. In regions where rules are lax and inorganic pigments continue to dominate, the inflated cost of organic pigments has a significantly negative impact on the paints & coatings industry. The increasing popularity of inorganic pigments based on mixed metal oxides is an additional issue for the organic pigments business. Inorganic colors based on mixed metal oxides are non-toxic. They are used as replacements to pigments containing lead chromate.

The organic pigments market is segmented into type, end-use industry, and region. Depending on type, the market is divided into azo pigments, phthalocyanine pigments, high-performance pigments, alizarin, arylide, and others. On the basis of end-use industry, it is categorized into paints & coatings, automotive, plastics, printing inks, packaging, textile, and others. Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA.

On the basis of type, organic pigments market is categorized into azo pigments, phthalocyanine pigments, high-performance pigments, alizarin, arylide, and others. High-Performance Pigments (HPPs) is projected to be the fastest growing segment and has garnered highest share in organic pigments market.

On the basis of end-use industry, organic pigments market is fragmented into paints & coatings, automotive, plastics, printing inks, packaging, textile, and others. Paints and coatings end-use industry is projected as to be the fastest growing segment. The printing inks segment garnered the highest share in the organic pigments market in 2021.

The major players operating in the global organic pigments market are BASF SE, Clariant, DIC Corporation, Ferro Corporation, LANXESS, Sudarshan Chemical Industries Limited, Sun Chemical, Synthesia a.s., TOYOCOLOR CO., LTD, Trust Chem Co. Ltd.  Other players operating in the market are Heubach GmbH, Dainichiseika Color & Chemicals Mfg. Co. Ltd, Changzhou Longyu Pigment Chemical Co. Ltd, Pidilite Industries Ltd and Sensient Technologies Corporation.

Key findings of the study

• On the basis of type, the high-performance pigments (HPPs) segment is expected to grow at a CAGR of 4.7%, in terms of revenue, during the forecast period.
• Depending on the end-use industry, the paints and coatings segment is expected to grow at a CAGR of 4.7%, in terms of revenue, during the forecast period.
• Region-wise, Asia-Pacific garnered the highest share in 2021 in terms of revenue.

COVID-19 analysis

The COVID-19 outbreak had a negative impact on the market for organic pigments. Globally, the foodservice industry has suffered due to the implementation of strict lockdowns in the wake of the COVID-19 outbreak.  Both alcoholic and nonalcoholic packaged beverage sales have declined as a result of this factor. Given that pigments are used to print inks on food and beverage packaging materials, this may have hindered the growth of the organic pigments industry. The growth of the market for organic pigments has also been hampered by limited transportation, travel limitations, and the cessation of manufacturing activities.

Additionally, consumer purchasing, and usage patterns have shifted significantly, resulting in a decline in market sales. However, the industry may enjoy a comeback due to the continued expansion of construction projects. As of December 2020, the Federal Reserve reported that approximately 1.67 million privately owned housing units were under development, which could raise demand for coatings for concrete and building materials.